【摘要】This paper investigates property value capitalization of municipal incorporation. Using detailed data from the metropolitan Atlanta area, our empirical strategy combines difference-in-differences hedonics with a relatively underutilized matching method from the class of monotonic imbalance bounding methods that approximates a fully blocked randomized experiment. We find that new city formation is positively capitalized into property values within the new city, increasing 4–5% in the two years following new city formation compared to the two years prior and 12–13% over the entire analysis period. The results also indicate that capitalization is stronger for parcels with greater potential for redistribution.

【关键字】Municipal incorporation, Property taxation, Decentralization, Endogenous political jurisdiction formation, Hedonic difference-in-differences

【文献来源】Patrick C, Mothorpe C. DEMAND FOR NEW CITIES: PROPERTY VALUE CAPITALIZATION OF MUNICIPAL INCORPORATION[J]. Regional Science & Urban Economics, 2017, 67.